Electricity prices have been fluctuating significantly again, and electricity retailers have actively started offering fixed electricity sales contracts one after another. Taxes on new electric cars are being tightened. Investments are planned in hydrogen plants, but these also consume megawatts of energy. Consumers are confused, and government circles are debating issues such as electricity price caps.
Clean Energy Challenges the Electricity Grid
The energy transition is an inevitable reality, but in public discussion or imagination it often means replacing fossil fuels with renewable energy sources. However, the energy transition is a much broader systemic change affecting everything related to energy markets, production, grids, and consumption.
Our current electricity infrastructure, built around fossil fuels, may face an even greater upheaval than the energy production shift itself from fossil fuels to renewables. The entire system—from production to consumption—is continuously evolving into a smart, adjustable whole. This is a challenge but technically solvable.
In the future, energy storage will have a major role, not only in capturing clean energy and optimizing power supply but also in stabilizing grid capacity. Transmission system operators have created a market platform to procure flexible power reserves from market participants to stabilize the grid. This reserve market opens a new stable revenue stream for energy storage investments. This earning opportunity is not yet widely discussed. Energy storages can be a significant catalyst in maximizing the use of clean energy, with many applications.
Clean Energy Needed in Industrial Supply Chains
We previously hosted an event featuring speakers on this hot topic. One expert was Jukka Leskelä, CEO of the Finnish Energy Industries Federation. We share a common vision: carbon-neutral energy can drive economic growth, but it requires courage to invest. The energy transition is here now.
In Jukka’s words, “If we paint short-term investment nightmares, isn’t it time to also look further ahead and understand how to turn this into economic growth?”
Finland has the opportunity to grow into a clean energy superpower, but the discussion must move towards a holistic view. Moving away from fossil energy sources is much more than switching to electric cars; it concerns the entire supply chain.
“For example, the automotive industry wants not only to become a producer of clean electric cars but also to use clean steel in manufacturing. Similarly, the food industry wants fossil-free fertilizers, etc. Capital worldwide is seeking targets where clean electricity and clean products can be produced. Finland is in an excellent competitive position here, alongside Sweden. We already have clean, nearly fossil-free electricity. Moreover, electricity prices here are significantly lower than in much of Europe. And on top of that, much more clean electricity can be produced. That’s why Finland faces a historically exceptional number of investment plans.”
“This is an opportunity to renew our industry and economy: transition current industries into a climate-neutral era and gain a lot of new industry. They will bring jobs and export income, and a large part of the investments will come from abroad. Finland is already a good investment environment: a stable country with reliable governance. NATO membership has increased stability and attractiveness, especially in the current geopolitical situation. Furthermore, the government is committed to this vision in its program and aims to improve investment conditions by clarifying and speeding up licensing processes and creating more flexibility in the labor market.”
So let’s stop scaring people with regulation talk when the keys to the solution are already in our hands! Let’s identify together where Finland and Finnish companies can open new kinds of business and earnings. This could be a place to succeed and find export products for the world.
